February 6, 2017

President Trump Orders Review of DOL Fiduciary Rule

On February 3, 2017, President Trump issued a Presidential Memorandum instructing the Department of Labor (DOL) to review the impact of the Fiduciary Duty Rule. The review will specifically address:

1. Whether the rule is likely to harm investors by reducing access to:
  • Certain retirement savings offerings
  • Retirement savings information
  • Related financial advice     
2. Whether the rule results in disruption within the retirement services industry that may adversely affect investors or retirees

3. Whether the rule is likely to cause increased litigation and higher prices that investors and retirees will pay for these services

The memorandum also indicated that if any or all of the above are shown to be the result of the rule, then the DOL will issue a proposed rule either rescinding or revising the original rule passed on April 8, 2016. The DOL issued a subsequent statement saying they were considering their legal options to delay the applicability date of April 10, 2017.

We will send out additional updates as more information becomes available. Should you have any questions, please don’t hesitate to contact us.